Market Comment - 1st February 2022

Posted by Stuart PritchardFebruary 1, 2022

Good morning,

Overnight there was the Australian Interest Rate Decision. The rate remain unchanged at 0.1% which has been seen as dovish. In other words the RBA believes they still need to keep interest rates very low in order to support the economy. This is opposite to the UK where the BoE is expected to raise interest rates again on Thursday this week. Initially there was a jump in the GBP/AUD rate but this has been given back already.

House prices remain rampant in the UK with Nationwide issuing their numbers at breakfast this morning. Analysts had expected a 10.8% growth but actually came in at 11.2%. This will have been spread across the UK with some parts way up whilst other areas would have been cooler.

The GBP/EUR rate has come off the boil somewhat in the last 24 hours as yet another retest of breaking out failed. The Sue Gray report has been received relatively mixed which will have contributed to this. Whilst the tone of the report was somewhat damning it's not looking at this stage that it's going to have the sweeping affect on No. 10 that some have been asking for.

Don't expect fireworks from the GBP/EUR rate in the next 48 hours unless a geopolitical story breaks. All eyes will be on Super Thursday when both the UK and Europe announces massive data.

The GBP/USD rate has been perking up in the last 24 hours although still remains relatively mid range on the longer term outlook.

China continues to celebrate their New Year today so the Yuan remains in descent.

As ever we look forward to keeping you in the loop and look out for our next update.

Our friendly currency experts are here to assist you and guide you through the markets, we offer a first-class service and even an online platform so you can monitor your transaction in real time.

Our business ethos is based on bank beating rates and fantastic customer service, click the link below for a no obligation quotation and see the savings for yourself.

Today’s Economic Calendar

EUR: 10:00 unemployment Rate

US: 15:00 manufacturing Data

OPEC: Wednesday 09:00 Meeting

© 2022. RegencyFX Ltd. All rights reserved. *Third party fees may apply.

Payment services for RegencyFX Ltd are provided by The Currency Cloud Limited. Registered in England No. 06323311. Registered Office: The Steward Building 1st Floor, 12 Steward Street London E1 6FQ.

The Currency Cloud Limited is authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 for the issuing of electronic money (FRN: 900199). In the US Currency Cloud operates in partnership with CFSB. CFSB fully owns the bank program and services are provided by The Currency Cloud Inc.

Payment services for Regency FX Ltd are provided by Sciopay Ltd. Sciopay Ltd is a company incorporated in England & Wales. Registration No: 12352935. Sciopay Ltd is licensed and regulated by HMRC as a Money Service Business (MSB).

License No: XCML00000151326. Sciopay Ltd is authorised by the Financial Conduct Authority as an Authorised Payment Institution. Firm Reference Number: 927951

Currency Pairs, Approved Jurisdictions and Non-Permitted Activity

linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram